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Daily digest market movers: More data to confirm

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  • Kickoff this Thursday at 12:30 GMT with a batch of housing, employment and prices data:
    • Building Permits are expected to increase to 1.480 million in April from 1.467 million in March. 
    • Housing Starts are expected to increase to 1.420 million from 1.321 a month earlier.
    • Weekly Jobless Claims could gather more importance than usual after last week’s numbers came well above the consensus:
      • Initial Jobless Claims are expected to head to 220,000 from 213,000.
      • Continuing Claims expected to remain rather stable,to 1.780 million from 1.785 million.
    • The import/export Price Index for April will come in as well.
    • The Philadelphia Fed Manufacturing Survey for May is expected to fall to 8 in May from 15.5 in Apri. 
  • Markets can digest all the above data before a slew of Fed officials are set to take the stage:
    • Federal Reserve Vice Chair for Supervision Michael Barr will testify before the US Senate Committee on Banking. 
    • Federal Reserve Bank of Philadelphia President Patrick Harker will speak on the economic impact of higher education and health care.
    • Federal Reserve Bank of Cleveland President Loretta Mester will participate in a luncheon at the Wayne Economic Development Council.
    • Federal Reserve Bank of Atlanta President Raphael Bostic participates in a moderated conversation about the US economic outlook at an event organized by the Jacksonville Business Journal.
    • All speakers this Thursday are Federal Open Market Committee (FOMC) voters, except for Fed’s Harker. 
  • The Qatar World Economic Forum started on Tuesday morning. Headlines from world leaders may come out throughout the week.
  • Equities outperformed in the US, with the S&P 500 hitting a fresh all-time high which got taken over by Asian equities. European equities look sluggish, undergoing some profit taking, with US futures mildly in the green. 
  • The CME Fedwatch Tool suggests a 91.6% probability that June will still see no change to the Federal Reserve's fed fund rate. Odds have changed for September with the tool showing a 51.4% chance that rates will be 25 basis points lower than current levels.
  • The benchmark 10-year US Treasury Note trades around 4.34%, the lowest level for over a month.


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